ECON 136A RESEARCH PROJECT WINTER 2008 This project will require you to research accounting literature. Doing so requires access to the large volume of “rules” and also a tool for “searches”. Both are available using the Financial Accounting Research System (FARS) CD-rom that should come with your textbook. This software is used in practice and on the CPA exam. FACTS: You are the controller for a company developing a retail shopping center which will be sold once constructed and occupied with tenants. The CFO has approached you with the following inquiries: •Should interest cost be capitalized during the period of construction? If so, is it optional or mandatory? •Can the pre-acquisition costs of the land be capitalized? (such as paying consultants to evaluate this property, marketing studies performed for this property, due diligence performed on this property prior to its acquisition) •Can costs of personnel assigned solely to this project and whose time can be clearly linked as
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